United Airlines is cracking down on carry-on overload. The airline will tell workers at security checkpoint entrances to eyeball passengers for over-sized bags. Plus, it is putting out bag-sizing boxes at airports before security.
A few business magazines and some blogs have commented on this "non-taxable" ruling. But upon further examination, baggage fees are taxable, just not as transportation. It appears that taxes are eventually collected from the airlines for these fees as overall corporate profits and passengers may actually benefit from not having 7.5 percent transportation federal excise tax slapped on the baggage fees.
With the steady increase in checked-baggage fees and the broadening of the application of those fees, many passengers have been wondering just what they get for their money when they check a bag domestically. The answer: nothing. Delta wins the Golden Luggage Award this quarter with a stellar effort at collecting more fees than any other airline but also managing to rack up the most luggage-related complaints.